“The Future of Data has not even begun”

Wiesbaden, Hessen Apr 17, 2024 (Issuewire.com) – Cyberattacks are now taking on alarming proportions worldwide. According to the IBM report “Cost of Data Breach,” the cost of an attack is over five million US dollars. Government institutions and regulatory authorities are now taking measures that are forcing companies to increase the security of their data and thus their customers. Companies are not always sufficiently prepared for this. In Europe, for example, a directive is currently being implemented that will make board members personally liable for breaches of cybersecurity guidelines.

In the event of serious breaches, fines of up to 2% of annual turnover or 10 million, whichever is higher, can be imposed. What role do Chief Data Officers play in this environment, what new challenges do they have to face and what does the future of cybersecurity look like? These topics are discussed by Louis Esteban Grifoll, one of the first Chief Data Officers (CDO) in Europe, at one of the continent’s largest banks, CAIXA in Spain, and Michael Deissner, CEO of comforte AG, a cybersecurity market leader in the banking & finance sector.

The German company, located in Wiesbaden near Frankfurt, with subsidiaries in New York, Singapore and Australia, delivers data-centric cybersecurity solutions, using a patented, leading encryption technology. This protects the data, but it remains usable for cloud-based applications. At the same time, it ensures that even if data is accessed or exfiltrated without authorisation, it cannot be used by the attacker and is therefore useless. Ransom demands or publication on the Dark Net lose their threat. The 500 customers include VISA, Mastercard and 30 of the world’s largest banking institutions as well as leading retailers from fashion and other industries in the USA.

As a pioneer in the role of Chief Data Officer at Spain’s largest bank, can you explain the evolution of the CDO role and its responsibilities over the years?

Esteban: The role of the CDO has indeed changed a lot. This is due to the fact that the value of data for the development of business processes is now generally accepted. New technologies and tools have emerged that speed up data processing enormously and make it easier to analyze. Data analyses are increasingly being integrated into business processes, promoting a data-driven approach. All of this means that data governance has become an increasingly important area of responsibility.

Deissner: The role has changed significantly as data utilization and analysis as well as data protection have become key factors in companies. However, closer cooperation between the CDO and the Data Protection Officer is required.

What exactly does data governance involve and how does it contribute to a company’s success?

Esteban: Data governance describes the management, control, and monitoring of an organization’s data. It involves the development and implementation of policies, processes, and procedures to ensure that data is handled in line with organizational objectives and regulatory requirements. Effective data governance increases the value of data, enables informed decision-making, reduces data-related risks, and improves operational efficiency.

Deissner: Effective data protection requires good data governance. It is an indispensable tool for ensuring data quality, minimizing the risk of data leaks, and ensuring compliance with legal requirements.

How can a company improve data quality and what steps are recommended to solve data quality problems?

Deissner: Improving data quality requires a holistic strategy. Companies should implement processes to monitor and measure data quality and take corrective action where necessary. It is crucial to assign responsibilities and ensure that the teams that generate data are involved in the quality control process.

Esteban: Establishing a data-centered culture and strategy and assigning data ownership is paramount. Define the scope of quality controls and metrics to monitor data quality and encourage data-generating teams to implement sufficient controls to improve data quality.

Now we have GDPR in place across Europe. What do companies need to do to ensure data protection and data security within this framework?

Esteban: GDPR compliance requires continuous efforts to protect personal data and demonstrate accountability. Organizations must implement policies and procedures and appoint a Data Protection Officer to ensure compliance with data protection standards. This also includes restricting access to sensitive data through role-based authorizations and implementing data access controls.

Deissner: In addition, companies must implement technologies that ensure the protection of personal data, for instance, data pseudonymization, encryption, and access controls.

We live in the age of artificial intelligence (AI). What critical factors should companies take into account when considering the use of data for machine learning (ML) or AI applications?

Esteban: For ML and AI applications, organizations need to prioritize data quality, governance, privacy, and compliance. These considerations ensure that ML and AI applications are accurate, effective, and privacy-compliant.

How can a data strategy contribute to sustainability efforts within an organization?

Esteban: Sustainability initiatives provide new data that was not previously available or utilized. They provide an opportunity to create a well-defined data model, applying all the principles of data governance and data quality. Thus, improving the organization’s sustainability efforts.

Deissner: Data plays a crucial role in companies’ sustainability efforts, helping measure their environmental impact and promote sustainable business practices. Implement solutions that make it possible to use data in line with sustainability goals while ensuring data remains protected.

How do you envision the future of data and how is cloud technology impacting data strategies?

Esteban: The future of data hasn’t even really started yet. Many companies are only at the beginning of their journey towards data-driven processes. Cloud technologies offer more computing capacity and flexibility to achieve important goals. But their use still needs to develop. It will be vital to understand the importance of governance, data quality, and evolving regulations, particularly in relation to data ethics and respect for human rights, to navigate the future of data successfully.

Deissner: The future of data will be characterized by a stronger integration of data protection and governance. Organizations will strive to establish data-driven decision-making processes while ensuring data protection and compliance. We are seeing an increase in demand for solutions that ensure data protection and security in the cloud to realize its benefits without compromising on data integrity.